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| Thursday, 8 March, 2001, 12:23 GMT Profits down at John Lewis ![]() Stormy times at John Lewis as profits plummet John Lewis, reporting profits down 23%, has revealed its stores may lengthen opening hours in a drive to boost sales. The group, a major protester against laws allowing shops to open on Sunday, has revealed that its department stores are reviewing trading hours as part of a "focus on meeting customers' expectations".
"We have got to move towards being there when the customer needs us," a John Lewis spokesman told BBC News Online. "And we have to make sure staff expertise is on hand when customers are there. Extra day "Previously, outside London, the five day week has been the norm. That seems to be moving to a six-day week." John Lewis, which believes that "there's more to a job than work and pay", protested strongly against 1990s laws which allowed extra shops to open on Sundays. The retailers claimed that workers' lifestyles would be harmed by the legislation. "That was then," the spokesman said. "As soon as the laws changed, our trading pattern was changed to adapt to them." Profits slump Department store sales rose 7% to �2.03bn in the year to the end of January, with turnover for the group as whole rising 10% to �4.13bn.
And Sir Stuart Hampson warned that profitability would continue to suffer this year as the retailer rolls out a series of store improvements. "The benefits of many of the initiatives now under development will not show through until 2002," he said. "But the year ahead will show important and visible progress towards long-term goals of... building a stronger business." Bonuses cut The retailer, which is run as a partnership, said staff members' annual bonuses would come in at a reduced rate of 10% for the year. For trading in 1999, when the retailer reported profits of �194.7m, bonuses were paid out a rate of 15% of pay packets, equivalent to almost two months' wages. The firm blamed the profits slide on one-off costs including the refurbishment of the Peter Jones store in London. Trade at the shop slid 14% last year, offsetting much of the sales growth achieved through the opening of outlets in Glasgow and the Bluewater shopping centre. But the group's confidence in Peter Jones "justifies the major capital commitment to its renovation", Sir Stuart said. Further costs were sustained through the integration of 11 stores bought from Somerfield into the Waitrose chain. Sales at the division rose 13% over the year to �2.09m. |
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